Powell testimony today: Garcia expects 'booming bull market' to continue

U.S. stocks remain in focus this morning after Chair Jerome Powell reiterated that interest rates will likely stay put in March.

S&P 500 outlook after Powell's testimony today

The central bank does expect to start lowering rates this year but is more focused on the risk of easing too quickly for now, as per Powell's prepared remarks for appearance before the Senate.

Still, Courtney Garcia of Payne Capital Management expects “this booming bull market to continue”.

She’s bullish on the S&P 500 primarily because the economy is “on good footing” and the consumer price index (CPI) continues to “come in line with expectations”.

Garcia sees “over $25 billion in stock buybacks” last quarter as a bullish sign as well. Note that the benchmark index is already up close to 10% year-to-date.

Why else is Garcia bullish on S&P 500?

Powell's testimony today confirmed again that interest rates have now peaked but rate cuts are unlikely until the Federal Reserve has "confidence that inflation is moving sustainably toward 2.0%."

But Payne Capital's Garcia sees upside in the S&P 500 index based on what companies reported this earnings season. On CNBC's "Worldwide Exchange", she said this morning:

The U.S. central bank is scheduled to announce its rate decision on March 20th. Ahead of it, the U.S. Bureau of Labour Statistics will post its monthly inflation data on March 12th.